NEGATIVE DOLLAR SENTIMENT

Most analysts expect Bernanke to repeat that future Fed tightening will depend on the shape of upcoming economic data. However some were doubtful of the dollar's potential to rally even if Bernanke's comments are more upbeat than expected, given the market's current dollar-negative mood. "Sentiment is generally negative for the dollar even in the face of good news. The market is looking through the expected rate hikes. If you take away the interest rate support for the dollar ... and the structural problem is still there, the trend for the dollar is downwards," said Adam Cole, currency strategist at Royal Bank of Canada.